New chapter in negotiations on future of academic and clinical medicine, community health in Minnesota to begin as strategic facilitator selected

AG Ellison invites public input on negotiations between University of Minnesota, Fairview, and Essentia Health; asks parties to ‘maximize this opportunity by exercising discretion and the honoring confidentiality of negotiations’

April 2, 2025 (SAINT PAUL)  — Minnesota Attorney General Keith Ellison announced today that the new chapter of negotiations on the future of academic and clinical medicine and community health in Minnesota will soon begin between the University of Minnesota, Fairview, and Essentia Health. The parties have agreed to the selection of a strategic facilitator who is charged with guiding conversations among Fairview, Essentia, and the University to address how they can work together on a path forward.

As part of the process, Attorney General Ellison invites the public to provide confidential input on the negotiations, which will be shared with the strategic facilitator. The public and interested parties may submit information at a dedicated page on Attorney General Ellison’s website or at a voice mailbox at (612) 429-7082.

As part of setting the conditions for the success of this new chapter that the strategic facilitator will oversee, Attorney General asks the parties to exercise discretion and honor the confidentiality of their negotiations until they have something to present to the public.

“A successful future for academic and clinical medicine and community health in Minnesota is a critically important component of Minnesota’s public and economic health and the health and prosperity of every Minnesota family and community,” Attorney General Ellison said. “I am pleased this new chapter is moving forward with the selection of a strategic facilitator. As it does so, I call on all parties to maximize this opportunity by exercising discretion and honoring the confidentiality of negotiations, and keeping their eye on the future. I pledge that I will do the same.”

“We welcome this next step in achieving a solution that best meets Minnesota’s most pressing healthcare challenges,” said University of Minnesota President Rebecca Cunningham. “Together, we want to improve the health of all Minnesotans, help providers deliver quality care closer to home, and maximize the unique strengths of the University’s teaching, research, and service mission.”

“We remain committed to approaching this moment with a clean slate and a focus on progress,” Fairview CEO and President James Hereford said. “Our priority continues to be achieving a resolution that serves the best interests of our patients, our employees, and the communities we serve. We believe meaningful progress happens when we work together — with a shared commitment to thoughtful, solutions-focused conversations outside of the spotlight. We look forward to participating in this process in that spirit.”

“The Attorney General’s active interest and collaborative approach will help advance this important conversation,” said Essentia Health CEO Dr. David Herman. “I look forward to working with Ms. Quam and leaders from the University and Fairview to reach sustainable solutions that support our colleagues and improve the health of all Minnesotans — now and in the future.”

The strategic facilitator that has been selected to guide the process is Lois Quam. Ms. Quam, a rural southwest Minnesota native and Saint Paul resident, is a longtime senior executive and director in the healthcare and nonprofit sectors. She is also an entrepreneur and consultant and a former senior official at the U.S. Department of State. She has worked across the globe and has many honors to her name, including being named a top woman in American business by Fortune magazine for three years in a row.

“Lois Quam has the professional experience, sector knowledge, and diplomatic skills to set up these negotiations for success. She has my full confidence and the full confidence of all the parties to this discussion,” Attorney General Ellison added.

Under Minnesota law, the Attorney General reviews healthcare transactions. Minn. Stat. § 145D.01 authorizes the Attorney General to consider whether a healthcare transaction is in the public interest and seek court intervention if the Attorney General finds that it is not. The Attorney General also has authority over these matters as the primary regulator of Minnesota charities and an enforcer of federal and state antitrust laws on behalf of the State of Minnesota and its residents. By engaging a strategic facilitator, Attorney General Ellison is not waiving this authority or preapproving the outcome of these discussions.